Saxum Real Estate has kicked off construction on a 322,600-square-foot, build-to-suit cold storage facility in Crown Point, Ind. Arcadia Cold is slated to occupy the facility upon completion in the second quarter of 2026.
The building will feature 50-foot clear heights and comprise roughly 45,000 pallet positions, as well as convertible rooms with temperature capabilities ranging from -10 to 38 degrees F. According to Inside Indiana Business, the warehouse will be used to support food manufacturers and retailers.
The 26-acre development is at 13301 Mississippi Parkway, about 51 miles southeast of downtown Chicago. Interstate 65 and U.S. Route 231 are within 3 miles.
Earlier this year, the company unveiled plans to build two cold storage facilities throughout Greater Windy City in collaboration with Saxum. Arcadia Cold COO JD Schwefler said in prepared remarks that the company will announce its proposal regarding the other property at a later date.
Saxum Real Estate owns another 294,840-square-foot cold storage project in the metro, which is currently in the planning and permitting stages, CommercialEdge data shows. Bank OZK originated a $53.3 million construction loan in August for that development.
Developers bullish on Chicago cold storage
Metro Chicago’s industrial construction pipeline shrunk by 23 percent year-over-year through June, as developers had 12 million square feet of industrial space underway, a report by Avison Young shows.
According to Grand View Research, the cold storage market was valued at $36.9 billion in 2023 and is projected to grow by 17.5 percent annually through 2030. Developers seized the opportunity, as Avison Young’s report shows that the largest industrial development to break ground across metro Chicago during the second quarter was Alston Construction and Barber Partners’ 389,880-square-foot speculative cold storage project in Plainfield, Ill.